Find Out Whether Your Car Insurance Policy Covers Legal Expenses

Find Out Whether Your Car Insurance Policy Covers Legal Expenses

Whether you were no-fault or at-fault during an accident, car insurance claims will involve lawsuits. However, for many, it is still unclear whether the legal fees associated with such claims are covered under auto insurance. Here is everything you need to know about car insurance policy claims.

Does Auto Insurance Cover Legal Fees?

Yes, auto insurance covers specific legal fees associated with car insurance claims.

Drivers should carry auto liability insurance coverage to get covered for the legal costs. Auto liability insurance covers:

  • Bodily Injury Liability Coverage: It helps cover the medical bills and other expenses if you cause a car accident (at-fault) that injures another person. This liability coverage will also pay for the legal costs if the injured person files a lawsuit.
  • Property Damage Liability Coverage: It pays for the repair costs or damages you have caused to another person’s vehicle or property.

The liability insurance coverage limits may vary depending on your sate and policy type.

What Legal Fees Does Auto Liability Insurance Cover?

Broadly speaking, car accident lawsuits can work differently depending on who sues and who is sued. Possibly, you can be sued for an accident, or you sue another driver.

  • If you are being sued for an accident, your auto liability insurance will cover the legal fees associated.
  • If you sue another driver, then you need to find a lawyer and pay legal charges. However, these charges will be compensated by the at-fault driver if you win the lawsuit.

If you want to claim the legal costs, notify your insurance company about the incident right after or at least within 5 to 10 days. Otherwise, you cannot claim the legal cost.

These are the crucial things you need to know about legal fees coverage under auto insurance. Are you looking for assistance with your auto insurance coverage? Contact the experts at 01 Insurance. We are ready to assist you with all your car coverage-related questions and needs.